What were the key takeaways from Curtiss-Wright’s earnings call?

What were the key takeaways from Curtiss-Wright's earnings call?

What factors drove the changes in Curtiss-Wright's revenue and profit?

What does Curtiss-Wright do and what are its main business segments?

What is Curtiss-Wright's gross profit margin?

What guidance did Curtiss-Wright's management provide for the next earnings period?

What is Curtiss-Wright's latest dividend and current dividend yield?

What is the market's earnings forecast for Curtiss-Wright next quarter?

- **Record 2025 Performance**: $947M Q4 revenue (+15% YoY), 18.6% operating margin, $554M free cash flow.
- **2026 Growth Drivers**: 6-8% organic sales, 11-15% EPS growth, $575-595M free cash flow.
- **Defense Momentum**: U.S. FY26 $ budget and NATO spending driving embedded computing, EM actuation, and Turret Drive Systems.
- **Nuclear Expansion**: SMR prototyping (+50% Q4 orders) and potential AP1000 reactors order in 2026.
- **Financial Strength**: 19.7% operating margin, 105% free cash flow conversion, and $465M share buybacks.

**【CEO Summary Section】**
- Delivered record 2025 financial performance with $947M Q4 revenue (+15% YoY), driven by 11% organic growth and I&C Solutions acquisition.
- Full year 2025 highlights: 18.6% operating margin (up 110bps), $554M free cash flow, and $4.1B new orders (+10% YoY).
- 2026 guidance: 6-8% organic sales growth, 11-15% EPS growth, and $575-595M free cash flow.
- Defense Electronics book-to-bill of 0.96x due to U.S. budget delays, but long-term pipeline remains strong.
- Commercial Nuclear growth from SMR prototyping and potential AP1000 orders.

**【CFO Financial Commentary】**
- Q4 2025: $947M revenue, 19.7% operating margin, $315M free cash flow (13% YoY growth).
- Segment performance:
  - **Aerospace & Industrial**: +5% sales, 20.1% margin, driven by Commercial Aerospace and Naval Defense.
  - **Defense Electronics**: +17% sales, 25.9% margin, embedded computing growth.
  - **Naval & Power**: +21% sales, 17.9% margin, naval defense and I&C Solutions contributions.
- 2026 financial outlook: 8-11% operating income growth, 18.9-19.2% margin, and $14.70-$15.15 EPS.
- Capital allocation: $465M 2025 share buybacks, 9th straight dividend increase.

**【Q&A Highlights】**
- **Defense Spending**: U.S. FY26 $1T budget and NATO 2%+ GDP growth driving demand for embedded computing, EM actuation, and Turret Drive Systems.
- **AP1000 Reactors**: Expect 2026 order from U.S., Poland, or Bulgaria; not included in 2026 guidance but could impact 2027+.
- **Commercial Nuclear**: SMR prototyping (+50% Q4 orders) and AP1000 restarts in U.S. and Europe.
- **Supply Chain**: Stable in 2025, monitoring memory/RAM and rare earths for AI infrastructure.
- **Free Cash Flow**: 2025 working capital efficiency at 19.2% of sales; targeting 18% in 2026.
- **C-17 Order**: Q1 2026 booking delayed from Q4 2025 due to U.S. government shutdown.

Curtiss-Wright Corporation (CW) Q4 2025 Earnings Call Transcript

- **Revenue & Profit Growth**: Q3 2025 revenue up 9% YoY to $869 million, operating margin expands to 19.6%, EPS guidance raised to $12.95-13.20 (19-21% YoY growth).
- **Free Cash Flow Strength**: $520-535 million free cash flow (105% conversion), with $450+ million share buybacks in 2025.
- **Strategic Growth Drivers**: 
  - **Defense Electronics**: 29.2% operating margin, 4% sales growth driven by embedded computing and tactical communications.
  - **Nuclear Expansion**: $3.9 billion backlog, 14% YoY order growth, targeting >$1.5 billion annual nuclear revenue by mid-2030s.
  - **AI & Automation**: Continued investment in AI-driven solutions for aerospace, defense, and industrial markets.
- **AP1000 Opportunity**: Potential $100-200 million+ per plant content in Poland, Bulgaria, and U.S., with first orders expected in 2026.

**【CEO Summary Section】**
- **Revenue Growth**: Q3 2025 revenue of $869 million, up 9% YoY, driven by 6% organic growth across all segments. Operating income increased 14% YoY, with operating margin expanding 90 basis points to 19.6%.
- **Free Cash Flow**: $176 million for the quarter, up 8% YoY, with full-year guidance of $520-535 million (105% conversion rate). Capital expenditures increased 40% YoY to support growth.
- **2025 Guidance Update**: Sales growth raised to 10-11%, operating income growth to 16-19%, and EPS to $12.95-13.20 (19-21% YoY growth). Free cash flow conversion expected to exceed 105%.
- **Strategic Focus**: Continued investment in AI, nuclear technologies, and defense electronics to capitalize on long-term growth vectors in aerospace, defense, and energy markets.

**【CFO Financial Commentary】**
- **Segment Performance**: 
  - **Aerospace & Industrial**: 8% sales growth, 17% operating income growth, and 140 basis points margin expansion to 18.6%, driven by naval defense programs (Columbia/Virginia-class submarines) and commercial nuclear orders.
  - **Defense Electronics**: 4% sales growth, 19% operating income growth, and 270 basis points margin expansion to 29.2%, supported by embedded computing for UAVs and tactical communications.
  - **Naval & Power**: 12% sales growth, 14% operating income growth, and 20 basis points margin expansion to 16.6%, fueled by submarine programs and I&C Solutions' SMR development.
- **Liquidity & Capital Allocation**: $450 million+ share buybacks in 2025, maintaining strong balance sheet with $1.2 billion in available liquidity.

**【Q&A Key Highlights】**
- **AP1000 Reactor Content**: Potential for $100-200 million+ per plant (vs. historical $28 million/RCP), with Poland and Bulgaria orders expected in 2026. Free cash flow conversion to remain >105% despite elevated CapEx for nuclear capacity.
- **Government Shutdown Impact**: $50 million+ Defense Electronics orders delayed in Q3, but pipeline remains healthy with 1.1x book-to-bill and 3.9 billion backlog. Resolution expected to restore normal order flow within 30-45 days.
- **M&A Strategy**: Prioritizing acquisitions in defense electronics, nuclear, and aerospace with strategic fit and financial discipline. No major deals announced in 2025, but pipeline remains active.
- **Commercial Nuclear Momentum**: Record $3.9 billion backlog, 14% YoY order growth, and 16%+ sales guidance for 2025. Poland, Bulgaria, and U.S. AP1000 orders could drive >$1.5 billion annual revenue by mid-2030s.

Curtiss-Wright Corporation (CW) Q3 2025 Earnings Call Transcript

- **Record Q2 Growth**: 12% revenue rise, 20% operating income growth, and 130 bps margin expansion. Free cash flow up 17% to $117M.
- **Guidance Uptick**: 9-10% sales growth, 16-19% EPS growth, and $520-535M free cash flow. Defense FMS sales +20%, commercial nuclear targeting $1.5B by 2030s.
- **Strategic Wins**: Columbia-class submarine production ramping, Rolls-Royce SMR partnership, and AP1000 reactor opportunities in U.S. and Europe.
- **Margin Strength**: Defense Electronics segment on track for 26.8-27% operating margin, supported by pricing, absorption, and operational excellence.
- **Capital Return**: $400M buyback increase and 14% dividend hike, reflecting disciplined capital allocation and shareholder focus.

**【CEO Summary Section】**
- **Q2 2025 Performance**: Revenue of $877 million (+12% YoY), driven by 9% organic growth. Operating income up 20%, EPS +21%, and free cash flow of $117 million (+17% YoY). Book-to-bill of 1.1x, with A&D at 1.2x and strong demand in commercial nuclear and Defense Electronics.
- **2025 Guidance Update**: Sales growth of 9-10%, operating margin expansion of 100-120 bps to 18.5-18.7%, EPS growth of 16-19%, and free cash flow of $520-535 million (+8-11%).
- **Strategic Focus**: Defense (20%+ FMS growth) and commercial nuclear (potential $1.5 billion by mid-2030s). Columbia-class submarine production ramping, and partnerships like Rolls-Royce SMR for SMR fleet support.
- **Capital Allocation**: $400 million share buyback increase and 14% dividend hike, reflecting strong cash generation and shareholder return focus.

**【CFO Financial Commentary】**
- **Segment Performance**:
  - **Aerospace & Industrial**: +3% sales, +5% operating income, 40 bps margin expansion. Strong commercial aerospace OEM growth and restructuring savings.
  - **Defense Electronics**: +11% sales, +18-20% operating income growth, 190-210 bps margin expansion. C5/ISR program momentum and operational excellence.
  - **Naval & Power**: +19% sales, driven by Columbia-class submarines and Ultra Energy contribution. Commercial nuclear aftermarket and SMR development growth.
- **Full Year Outlook**: Operating income +15-18%, free cash flow conversion >105%, and R&D investments of $20 million+ to support growth.

**【Q&A Highlights】**
- **Commercial Aerospace Growth**: Driven by OEM production ramp and embedded computing in Defense Electronics. FMS sales up 20% YoY, with NATO and allied demand accelerating.
- **Defense Electronics Margin Sustainability**: 18-20% operating income growth and 26.8-27% margin target, supported by pricing, absorption, and operational excellence. Q3 sales may decline due to Ground Defense timing, but Q4 expected to rebound.
- **M&A Pipeline**: Focus on Defense Electronics and safety-critical tech. No immediate deals, but active in private and public markets. Share buyback ($534M remaining) and dividend growth remain priorities.
- **Columbia-class Submarines**: Production ramping, with material receipts front-loaded in Q1. Q3/Q4 focus on labor-intensive work to meet 1-per-year pace. Naval Defense sales +7-9% YoY.
- **AP1000 Reactors**: Potential $1 billion+ opportunity in U.S. with Westinghouse. Poland and Bulgaria orders expected in 2026, supporting European SMR expansion.
- **Flight Data Recorders**: Retrofitting accelerating, with Airbus qualification in H1 2026. Content range $20M-$120M per SMR, positioning for long-term growth in nuclear and aerospace.


Curtiss-Wright (CW)-7 Aug 25-2025 Q2 Earnings call transcript

- **Revenue Beat & Margin Expansion:** Q1 13% growth, 260bps margin expansion to 16.6%, EPS up 42%.
- **Guidance Raise:** 2025 sales +8-9%, margin 18.3-18.5%, EPS +14-17%.
- **Tariff Mitigation Success:** $30M impact reduced to $10M via pricing & restructuring.
- **Commercial Aerospace Surge:** $12M+ annual from new cockpit voice recorders, Airbus certification 2026.
- **Nuclear Growth Catalysts:** Poland/Bulgaria AP1000 plants, SMR prototyping 2026-27.


**【CEO Opening Remarks】**
- Q1 2025 revenue of $806M (+13% YoY, +11% organic), driven by Aerospace & Defense (A&D) growth and record backlog of $3.6B.
- Operating margin expanded 260bps to 16.6%, with EPS up 42% YoY to $1.08.
- Full-year 2025 guidance raised: sales +8-9%, operating margin 18.3-18.5% (+80-100bps), EPS $12.45-12.80 (+14-17%).
- Key growth drivers: naval nuclear propulsion, commercial nuclear aftermarket, and new cockpit voice recorder contracts.

**【CFO Financial Breakdown】**
- **Aerospace & Industrial (+4%):** Defense actuation equipment (F-35/F-18) and commercial aerospace OEM growth offset industrial vehicle declines.
- **Defense Electronics (+16%):** Record $1.2B order book driven by C5ISR programs (Triton UAV, Blackhawk helicopters), operating margin 27.5%.
- **Naval & Power (+18%):** Submarine program execution and Ultra Energy contribution, despite 20% tariff exposure.
- **Free Cash Flow:** Q1 outflow improved 5% YoY; full-year guide raised to $495-515M (+27% YoY).

**【Q&A Key Takeaways】**
- **Tariff Mitigation:** $30M potential impact reduced to $10M via pricing, restructuring ($20M cost savings), and operational flexibility.
- **Commercial Aerospace Growth:** New cockpit voice recorder contracts (FAA mandate) to drive $12M+ annual revenue, with Airbus certification expected 2026.
- **Nuclear Outlook:** Poland/Bulgaria AP1000 plant construction contracts likely 2026, supporting Westinghouse partnership.
- **Defense Electronics Margin:** 2025 guide assumes 15-18% growth, with 140-160bps margin expansion via restructuring and mix shift.
- **SMR Progress:** TerraPower/X-energy design development progressing, with prototyping 2026-2027.


Curtiss-Wright (CW)-8 May 25-2025 Q1 Earnings call transcript

- **Revenue & Profit Growth**: 2024 sales up 5%, EPS up 16% to $10.90. 2025 guided for 7-8% sales growth, 11-14% EPS growth to $12.10-$12.40. 
- **Order Backlog Strength**: Full year bookings up 20% to $3.7B, with 1.2x book-to-bill. 
- **Segment Momentum**: 
  - **Defense Electronics**: $1B+ order backlog, 25%+ operating margin target. 
  - **Naval & Power**: 10-11% growth driven by naval nuclear and commercial nuclear. 
  - **Aerospace**: 10-12% Commercial Aerospace growth on narrowbody/widebody production. 
- **Cash Generation**: 2024 free cash flow of $483M (116% conversion). 2025 outlook for $485-505M free cash flow. 
- **Strategic Acquisitions**: Ultra Energy to contribute $16M+ in R&D investments for SMR growth. 


**【CEO Summary Section】**
- **Record Financial Performance**: 2024 sales grew 5% YoY to $3.7 billion, with operating income up 10% and EPS reaching $10.90 (16% YoY growth). Free cash flow hit a record $483 million (116% conversion rate). 
- **Strong Order Growth**: Fourth quarter bookings surged 37% YoY, driving a 1.1x book-to-bill. Full year order backlog rose 20% to $3.4 billion.
- **2025 Outlook**: Guided for 7-8% total sales growth (mid-single-digit organic + Ultra Energy). Operating margin expected to expand 40-60 bps to 18% at midpoint. EPS to grow 11-14% to $12.10-$12.40.

**【CFO Financial Commentary】**
- **Segment Performance**: 
  - **Aerospace & Industrial**: 5% sales growth driven by Commercial Aerospace (narrowbody/widebody production) and Defense Electronics (embedded computing). Operating margin 21.3% (record quarterly level). 
  - **Defense Electronics**: 7-9% sales growth expected, supported by $1B+ order backlog. Operating margin to expand 10-30 bps to 25.0-25.2%. 
  - **Naval & Power**: 10-11% growth (3-5% organic) from naval nuclear propulsion and commercial nuclear. Operating margin to expand 50-70 bps to 16.3-16.5%.
- **Cash Flow & Capital Allocation**: $485-505M free cash flow in 2025. $60M share buybacks planned (up $10M YoY). Capital expenditures to increase $20M for growth investments.

**【Q&A Highlights】**
- **Ultra Energy Synergies**: U.K. nuclear manufacturing footprint to support SMR design wins. High-temperature sensors and pressure monitoring systems to expand into aerospace and industrial markets. 
- **Foreign Military Sales**: 2024 FMS grew 10% despite timing headwinds. 2025 outlook for low double-digit growth driven by C5ISR, naval aircraft handling, and ground-based arresting systems. 
- **Tariff Mitigation**: Cross-functional teams evaluating price recovery, supply chain alternatives, and contractual protections. 2025 guidance assumes manageable impact.
- **Naval Defense Execution**: 2024 deferred revenue surge ($140M) reflects material receipts and staffing ramp. 2025 expects continued strong execution against $3.7B backlog.


Actual											1.34	1.31	1.85	2.39	1.51	1.56	1.88	2.4	1.31	1.83	2.07	2.92	1.53	2.15	2.54	3.16	1.99	2.67	2.97	3.27	2.82	3.23	3.4	3.79
Forecast											1.2929	1.2773	1.5365	2.3205	1.3007	1.5407	1.8156	2.3652	1.197	1.69	2.0217	2.9093	1.396	1.96	2.3786	2.9217	1.7417	2.2883	2.6914	3.084	2.3754	3.1213	3.2988	3.6872
Surprise	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	+3.64%	+2.56%	+20.40%	+3.00%	+16.09%	+1.25%	+3.55%	+1.47%	+9.44%	+8.28%	+2.39%	+0.37%	+9.60%	+9.69%	+6.79%	+8.16%	+14.26%	+16.68%	+10.35%	+6.03%	+18.72%	+3.48%	+3.07%	+2.79%

CW

CW fundamentals

CW Q4 2025 Earnings

Earnings Call

You can ask Aime

CW

CW fundamentals

CW Q4 2025 Earnings

Earnings Call

CW Earnings Call Summary for Q4/202510:00 AM on Feb 12, 2026

CW Earnings Call Summary for Q3/202510:00 AM on Nov 6, 2025

CW Earnings Call Summary for Q2/202510:00 AM on Aug 7, 2025

CW Earnings Call Summary for Q1/202510:00 AM on May 8, 2025

CW Earnings Call Summary for Q4/202410:00 AM on Feb 13, 2025

You can ask Aime